17
December
Gold inches down as strong dollar weighs
17 December 2009 MSN
Gold fell on Thursday, coming under pressure from a higher dollar and paring gains made after the Federal Reserve noted some bright spots in the economy but reiterated its stance to keep interest rates low.
The Fed's pledge on Wednesday to keep interest rates low for "an extended period" reaffirmed the weak outlook for the dollar.
But in the short term the dollar was on the rise, driven by unwinding of short dollar, long euro positions ahead of the year-end. The euro fell below a key support of $1.46-$1.45 this week to trade at around $1.4398.
